Bright Smart Securities & Commodities Group Valuation

Q: What is the Fair Price of 1428 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

1428 (HK$2.28) is trading below our estimate of [[fair value]] (HK$4.63)

Is 1428 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 1428 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1428 (HK$2.28) is trading below our estimate of fair value (HK$4.63)

Significantly Below Fair Value: 1428 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1428?

Key metric: As 1428 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 1428. This is calculated by dividing 1428's market cap by their current earnings.
What is 1428's PE Ratio?
PE Ratio	6.9x
Earnings	HK$558.84m
Market Cap	HK$3.85b

1428 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	n/a
Enterprise Value/EBITDA	n/a
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does 1428's PE Ratio compare to its peers?

The above table shows the PE ratio for 1428 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	50.3x
1469 Get Nice Financial Group	14.7x	n/a	HK$2.2b
64 Get Nice Holdings	34.8x	n/a	HK$1.3b
3678 Holly Futures	113.8x	n/a	HK$9.3b
1788 Guotai Junan International Holdings	37.9x	n/a	HK$10.2b
1428 Bright Smart Securities & Commodities Group	6.9x	n/a	HK$3.9b

Price-To-Earnings vs Peers: 1428 is good value based on its Price-To-Earnings Ratio (6.9x) compared to the peer average (50.3x).

Price to Earnings Ratio vs Industry

How does 1428's PE Ratio compare vs other companies in the HK Capital Markets Industry?

2 Companies	Price / Earnings	Estimated Growth	Market Cap
2799 China CITIC Financial Asset Management	4.2x	-29.2%	US$6.70b
8098 CL Group (Holdings)	3.7x	n/a	US$10.18m

No more companies available in this PE range

2 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 1428 is good value based on its Price-To-Earnings Ratio (6.9x) compared to the Hong Kong Capital Markets industry average (18.5x).

Price to Earnings Ratio vs Fair Ratio

What is 1428's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

1428 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	6.9x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 1428's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

Discover undervalued companies

CSSC (Hong Kong) Shipping

HK$9.9b

Operates as a shipyard-affiliated leasing company in People Republic of China, Asia, the United States, and Europe.

3877

HK$1.62

-0.6%

20.0%

Genertec Universal Medical Group

HK$9.1b

Offers financing and advisory services in the People’s Republic of China.

2666

HK$4.85

-1.0%

18.3%

CSC Financial

HK$207.6b

Provides investment banking services in Mainland China and internationally.

6066

HK$10.44

-3.5%

35.4%